In less than six months since its inception in the South Asian nation, cross-border UPI payments in Nepal have crossed the one million person-to-merchant (P2M) transaction threshold for the first time. Person-to-merchant (P2M) UPI transactions between Nepal and India using QR codes were made possible in March thanks to a partnership between NPCI Payments Limited (NIPL), the international division of the National Payments Corporation of India (NPCI), and the Nepalese payments network FonePay.
Under the agreement, Indian users in Nepal can use UPI-enabled applications to instantly make UPI payments at any Nepali retailer. Indian clients can make UPI payments to merchants that have been acquired by the FonePay network's participating members.
"We anticipate continued growth in UPI transactions, as Indians make up the majority of visitors to Nepal." Furthermore, a representative for NPCI International stated, "We think this initiative will significantly contribute to the economic development of both countries." RuPay cards are now active in Nepal thanks to a partnership between NIPL and Nepal SBI Bank Limited (NSBL).
In the interim, travelers from Nepal can utilize NPCI's UPI One World solution to make payments utilizing UPI. It may be used by foreign visitors to trade at merchant establishments such shops, travel agencies, internet stores, grocery stores, entertainment venues, lodging, dining establishments, and transit.
When utilizing UPI One World to make payments, there are no transaction or onboarding fees. Currently, nations including Bhutan, France, Mauritius, Singapore, Sri Lanka, and the United Arab Emirates accept UPI.
An agreement was signed in June between NIPL and the Peruvian central bank to create a payment system akin to UPI in that South American nation. The payment organization and the Bank of Namibia (BoN) reached an agreement in May of this year to create an immediate payment system in the African country that would resemble Unified Payments Interface.
